topic Re: Lates in General Credit Topics

Lates

hpertrain — Mon, 18 Jun 2007 02:14:37 GMT

If you had a 60 day late in Dec.06. and 5 30 day lates from Sept.,then Nov. and Dec. 06

and then recently a 30 day late in Apr.07. No revolving debt, scores 688TU,654 Eq. and

668EXP. are you out of luck for a mortgage loan because of the lates. Could I be 680-700

within the next month as long as I pay on time? Thx

Re: Lates

Anonymous — Mon, 18 Jun 2007 02:23:58 GMT

In my rebuild I did not notice a much of a difference in payment history (as far as points are concerned) until I hit 6 months clean.

I hope this answers your question/helps.

Are all of your revolving cards active/been used recently?
As getting revolving balances down is not an option for you here (as they are at zero)
I would try GW letters if there is a story behind the lates.

It also depends on the type of loan you are applying for: FHA and VA have very specific guidelines for the recent payment history. Most lenders like to see 1 year of clean payment history.

Re: Lates

hpertrain — Mon, 18 Jun 2007 02:30:15 GMT

Timothy, thanks for the response. Most likely going for a FHA loan through a mortgage broker.I have periodically used a little revolving here and there but always pay it off straight away.

What eactly is a GW letter and are you saying if I don't have a 1 year clean payment history I'm out of luck on getting a mortgage even with decent FICO scores? Thx

Re: Lates

hpertrain — Mon, 18 Jun 2007 02:35:43 GMT

Also want to point out the lates were on credit cards and the recent April one was an

installment loan on a lot that I own.

Re: Lates

Anonymous — Mon, 18 Jun 2007 02:36:17 GMT

http://www.fha-home-loans.com/loan_qualifying_fha_loans.htm

FHA loans are the easiest type of real estate mortgage loan to qualify for. The FHA guidelines for loan qualification are the most flexible of all mortgage loans that require less than 5% down payment.

Following is the basic FHA loan qualification guidelines.

* Two Years of steady employment, preferably with same employer.

* Last two years Income should be the same or increasing.

* Credit report should typically have less than two thirty day lates in last two years.

* Bankruptcy's must be at least two years old, with good credit since.

* Foreclosure's must be at least three years old, with good credit since.

* Your new mortgage payment should be approximately 30% of your gross income.

These are some of the most basic of FHA guidelines for qualifying for a FHA loan. If you have answered yes to most of these statements, you probably qualify for a FHA mortgage loan.

Re: Lates

fused — Mon, 18 Jun 2007 04:21:07 GMT

hpertrain wrote:
If you had a 60 day late in Dec.06. and 5 30 day lates from Sept.,then Nov. and Dec. 06
and then recently a 30 day late in Apr.07. No revolving debt, scores 688TU,654 Eq. and
668EXP. are you out of luck for a mortgage loan because of the lates. Could I be 680-700
within the next month as long as I pay on time? Thx

How soon were you thinking of taking out a mortgage? Are these FICO scores? If so, your scores are not bad at all with 7 lates. You should try GW letters to remove these lates and your scores should improve quite a bit. Use the thread below. Let us know what happens. GL

http://ficoforums.myfico.com/fico/board/message?board.id=generalcredit&message.id=2661

Re: Lates

Anonymous — Mon, 18 Jun 2007 04:56:33 GMT

hpertrain wrote:
No revolving debt, scores 688TU,654 Eq. and 668EXP.

Believe it or not, a little CC debt is better than none. Carry balances of between 1 and 9 % util rather than PIF. You will see your FICO scores climb at least a bit.

Re: Lates

hpertrain — Mon, 18 Jun 2007 23:14:00 GMT

Thanks. Yes those are my scores that I just pulled on this site. I was hoping to

take out a mortgage in Aug.I'm hoping I can be 680 or above in early July. I'll

try the GW letters. Thx

Re: Lates

hpertrain — Tue, 19 Jun 2007 12:24:55 GMT

I understand using a little credit card activity w/small balances to help your score, but

what about the lates. I know it's important to have no lates. How long do you think you

have to realistically wait for the lates not to be so effective. In other words with the lates

I had back in Nov./Dec. and now this recent one in April do you think I could still see my scores

jump back up any in July. They were all heading upward before that late in April. Thx.

Re: Lates

Tuscani — Tue, 19 Jun 2007 12:27:06 GMT

hpertrain wrote:

I understand using a little credit card activity w/small balances to help your score, but

what about the lates. I know it's important to have no lates. How long do you think you

have to realistically wait for the lates not to be so effective. In other words with the lates

I had back in Nov./Dec. and now this recent one in April do you think I could still see my scores

jump back up any in July. They were all heading upward before that late in April. Thx.

Probably not in July.. Lates have less of an impact the older they are. One month old won't make much of a difference. You should try a GW letter on any lates you have reporting.

Re: Lates

hpertrain — Tue, 19 Jun 2007 20:23:08 GMT

Thx Tuscani, I am going to try the GW letter and hope for the best. Not being smart, but if the aforementioned late reported in April, July would be at least 3 months. I know that's not that long but would that have any bearing to help my score somewhat in July? Thx